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2004/08/16 Resolution 4930 - Property Purchase - Sharon TorgersonCity of Kalispell Charles A_ Harball Office of City Attorney City Attorney 312 First Avenue East P.O. Box 1997 Kalispell, MT 59903-1997 III at aHO 1OLS,,1► 111 TO: Mayor Pamela B. Kennedy and Kalispell City Council FROM: Charles Harball, City Attorney Chris Kukulski, City Manager Tel 406.758.7708 Fax 406.758.7771 charball@kalispell.com SUBJECT: Resolution 4930 — Approval of Purchase of Two Parcels of Real Estate for City Airport Needs MEETING DATE: Monday, August 16, 2004 — Regular Meeting BACKGROUND: With the assistance of its consultant, the City has been investigating and pursuing the acquisition of properties required for the expansion of its airport. The City entered into a Buy -Sell agreement with Sharon Torgerson for two parcels of property that she offered for sale. Pursuant to the agreement, an FAA approved appraisal was conducted which set the price at $380,000 for one parcel and $170,000 for the other. A Summary of the Salient Facts and Conclusions on the property is attached. A review appraisal has also been conducted which included some issues to be resolved by the primary appraiser before it fully meets the FAA requirements. These responses should be accomplished within two weeks. RECOMMENDATION: Council should consider and approve the purchase of this property, contingent upon the favorable responses by the primary appraisal which will meet FAA. requirements. FISCAL EFFECTS: The total price tag for the property is $550,000. Respectfully submitted, Charles WarlVall, City Attorney Chris Kukulski, City Manager RESOLUTION NO.4930 A RESOLUTION APPROVING THE PURCHASE OF TWO PARCELS OF REAL PROPERTY FROM SHARON TORGERSON FOR CITY AIRPORT NEEDS. WHEREAS, Sharon Torgerson has offered to sell and the City of Kalispell has offered to buy two parcels of property, described in the attached exhibit, for a value that matches the FAA approved appraisal, and WHEREAS, this real property is on the consultant's list of properties which must be acquired by the City of Kalispell in the event the City Airport is expanded and the runway realigned. WHEREAS, the primary appraisal set the value of one parcel at $380,000 and the other at $170,000 with the review appraisal certifying the methods with certain qualifications; and WHEREAS, the primary appraisal will respond to the review qualifications within two weeks. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF KALISPELL AS FOLLOWS: SECTION I. In the event all review qualifications are resolved, the City Manager is authorized to sign all necessary purchase documents to acquire the real estate herein described for the above stated appraised value. PASSED AND APPROVED BY THE CITY COUNCIL AND SIGNED BY THE MAYOR OF THE CITY OF KALISPELL, THIS 16" DAY OF AUGUST, 2004. Pamela B. Kennedy Mayor ATTEST: Theresa White City Clerk SIJAMARY OF SALIENT FACTS AND CONCLUSIONS LOCATION OF PROPERTY PROPERTY RIGHTS APPRAISED "AS IS" DATE OF VALUATION "AS IS" PRESENT USE HIGHEST AND BEST USE PROPERTY DESCRIPTION Tract 2F: Sharon Torgerson :Both properties are located adjacent to the Kalispell City airport. The physical addresses are 2500 and 2580 Highway 93 South. :Encumbered - Fee Simple Estate June 8, 2004 Shop/Hangars :General commercial and or light industrial use; current use is reasonable expectation for both properties. Tract 2F contains a gross site area of4.b7 acres or 203,425 sq.ft. Utilities consist of telephone, electricity, natural gas and sewer and water are in close proximity. The tract is predominately level and at grade with the surrounding streets and properties. Zoning is industrial and there are no floodplain concerns. The improvements consist of a one story shop building with a small mezzanine containing an apartment. This is a steel frame structure with metal wall panels and a metal roof structure. There is partial concrete poor and the remainder is dirt covering. This property contains a gross building area of 3,807 sq.R. which is 3,237 per sq.ft. on the main level and 570 sq.ft, in the mezzanine. The original date of construction is unavailable but the property is in average to below average condition. Tract 2D: Tract 2D contains a gross site area of 1.68 acres or 73,181 sq.ft. Utilities consist of telephone, electricity, natural gas and sewer and water are in close proximity. The tract is predominately level and at grade with the surrounding streets and properties. Zoning is industrial and there are no floodplain concerns. The improvements consist of a one story shop building/airplane hangar. This is a wood frame structure with T-1I1 siding. There is full concrete floor. This improvement contains a gross building area of 2,244 sq.ft. and is in average condition. VALUATION - AS IS - TRACT 2F: Indicated Value - Cost Approach $380,000 Indicated Value - Sales Comparison Approach $380,000 FINAL ESTIMATE OF VALUE - "AS IS" $380,000 VALUATION - AS IS - TRACT 2D: Indicated Value - Cost Approach $175 000 Indicated Value - Sales Comparison Approach $170,000 FINAL ESTIMATE OF VALUE - "AS IS" $170,000 M . r r....... o _.....•__,_._ This instrument Is executed this __l,3J�A tiny of April, 1997, by the undarsign d in the capacity of the duly appo(nted, qualified end acting persona) representative of the estate of Sydney A. Torgerson, deceased. 'Proceodings for the administration of the estate being filed tie Game No. DP-97-025A, in the District Court of the Eleventh ,fudicial District at Kalispelt, �} Montana, the undersigned, as personal representative, has paid and discharged �j all D1,119allons of he estate, df.ter ined the persons entitled to distribution at tV the estate properties according to law, and has paid and discharged all estate and inheritance taxes upon said estate, all as appears from the files in said Cause. NOW, THEREFORE, for the purpose of closing said estate and making ,roper distribution, Fs provided by law, the undersigned, as such personal representative, hereby assigns, transfers and conveys to SHAiRON M. r•- TORGERSON of SO Hilicrost Chive, Kalispell, Montana 59901 the real property situated in Flathead County, Montana, and particularly described as follows: A tract of land located in the Northeast Quarter of the Southwest Quarter of Section 20, Township 28 North, Range 21 West, Principal Meridian, Montana, Flathead County, Montane, and more - particularly described as follows: . Commencing at the Southwest tuna -Sixteenth corner of said Section 20, indicated by a found 516" rebar; thence North 00"14'15" East, on and along the. West boundary of said Nertheast Quarter of the Southwest Quarter, a di-3tence of 24017 feet to the true_ point of beginning; th onc;e North 00014' 15" East, continuing on anti eforrg said Walt boundary of the Northeast Quarter of the Southwest Quarter, a distance of 968.52 feet to a point; thence South -3015€ 159" East, on and along the West boundary ref a 60 foot private read and utility easoMent, a distance of 811.89 taet to a point; thence South 57"08'02" West, a distance of 500.40 feet to the true point of beginning. This parcei contains 4.680 acres of land. TOGETHER with a 60 foot private road and utility easeMent. SUBJECT TO any easements of record. 199.71-t i It 4SD IN WITNESS WHEREOF, the undersigned executes and acknowledpo this instrument as of the date above stated. Perronei napresantove tf a Estate of Sydney A, Torgerson, deceased. STATE OF Tt3PONTANA ) County of Flathead y On this .l_�i day of April. 1997, before me, the undersigned, s Notary Public for -the State of Montana, personally appeared Sharon M. TargeMon, known to me to be the person whose name is subsoribed to the wiihirn instrument, and acknowledged to me that she executotl the 57 rne. IN WITNESS WHEREOF, f have hereunto set my hand and affixed my aestl the day and year first above written. Notary Public for,the State of Montana Residing at Kalispell, Montana My commission expires June 25, 199P �fmimF rrPPimhswd� }j/}�Qf Ey F r�we► � tnd rgrrlMd r+! �1 tv®td. at Fl�thnaE CNinh/, =u� °� clew. t. 1 .�- (pi" MF d Le G;SG0AWrt 4�{ufY L AND 1S'tLU WALIFVLi.i., V..ONITA .t jNGj 1r397118 1 41c This instrument is executed this -day of April, 1 '997, by the undsrsigned in the capacity of tho duly appointed, qualified and aging personal representative of the estate of Sydney iA. Torgerson, decessad. Proceedings for the administration of the estate being find as Cause No. DP-97_026A, in the District Court of the Eleventh Judicial -District at Kalispell, Montana, the undersigped, as personal representative, has paid and discharged all obligations of the estate, determined the persons entitled to diw1bution of the estate properties according to faun, and has paid and discharged all aststet ;end inheritance taxes upon. said estate, all as appears from the files in said cause. NOW, THEREI"QRI , for the purpose of closing said estate and rrakingf proper distribution, as provided by law, the. undersigned, as such personal representative, hereby assigns, transfers and conveys to SHAR N M. TORGERSON of 30 l`'liicrest Drive, Kalispell, Montana 59901 the real propeitY Sit"ated in Fisthaa.r) Cneanty, &Aomtann, and panic..larly described as 01'10,w s! A tract of land in the North Half of the Northwest Quarter of the Northeast Quarter of the Southwest Quarter, Section 20, Township 29 North, Ranoe 21 West, P.M.M.. Flathead County, Mon.ans, and more particularly described as follows - Commencing at the West Quarter Corner of Section 20, thence South ,89*.25'23" East 1318.54 feet to the true point of beginning of the tract herein described; thence continuing S,,tb 89°25'23a East 405.00 feet to the Westerly boundary of the Kal►speil City Airport; hence along said boundary South 32050'29" East 100.00 feet; thence leaving saiti uoundary South 57` 09'31 " West 349.13 feet to the Easterly Right of Way of a 50 faot roadway,*1henct along said R10ht of Way North 3 "52'29" Wee- . 323.25 feet to the true point of beginning, containing 1.883 acres of li nd. jCertlflcats of SttNey No. 4884) TOGETHER WITH an easement in common for ingress and egress 30 feet in width can either sido of -the following described lire: Beginning at the Northwest corner of the Northeast Quarter Southwest Quarter �k of Section 20, Township 28 North, Range 21 West, P.M.M.; thence . South 0'114r t a" West 58.06 feet to the centerfine and the Point of 8egiraning of a 60.00 foot right of way, thence South 30052'29" East 1451.09 feet, thence South 89°20'69" East to the Westerly right rat way of Highway Na. 93 South 1406.22 feet. Said sa3ement i$ subject to e - Mortgage to the Conrad National Bank of Kalispell, Montane, and subject to a certain Contract for geed dated the 26th day of April, 1976, wherein Paul Wachhoiz, F. Charles Mercord and Kathryn Mercord, Everit A. Sliter and Niched! Sltter, W.C.Q. Heinecke and Rosalie Heinecke, E. F. Marelich and Marguerite Matelich, C. S. Robinson and Nancy Robinson, A. E. McGlenn and Dorothy McGlsnn, Richard Dasen and Susen ©asen, Henry .Jordahl and Alberta .lordshl are Sellers and John 8, Dittman, Trustee, is Purchaser, and a Contract for Dead dated the tat day of April, 1977, wherein John R_ Dittman, Trustee, is Salter and Robert L Monk is JN WITNESS NESS WHEREOF, the undersigned executes and acknowledges this instrument as of the date above stated_ Aersoraal Representative 41 the Estate of Sydney A, Torgerson, deceased. STATE OF MONTANA ) . ss. County of Flathead i On this r V� day of April, 1997, before me, the undersigned, a Notary Public for the State of Montana, personally appeared Sharon M. Torgerson, known to me to be the person whose name is subscribed to the within instrument, and acknowJadged to me that she execrated the same. IN WITNESS WHEREOF, I have hereunto set mY han-J and affixed my seal the day and year first above wr mn, N60'- , AL6'k otary Public for the State of Montana Residing st Kalispell, Montana My oommissron expires ,tune 25, 1999 ..+r Of roar A" a �' . �• 4rY � � t it tY,i�� �. t ! 1 qJ j� (�'tjl h IM rerard�i Vsllf�ed IMWSs4M1�. 1d:1 .t. .